3. Suppose in an emissions trading system the permits are allocated free of charge to emitters on...

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3. Suppose in an emissions trading system the permits are allocated free of charge to emitters on the basis of how much they have historically emitted. Can that allocation be consistent with cost-effectiveness? Does your answer depend at all on whether this allocation scheme was announced well in advance of its implementation?

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Environmental And Natural Resource Economics

ISBN: 9781315523965

10th Edition

Authors: Thomas H Tietenberg, Lynne Lewis

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